Marketers have known for a while that many viewers are returning to OTT platforms. Experts say that OTT marketing will double by 2025, bringing ad spend to a total of $2.37 billion. To ensure that you don't get left behind, make your OTT advertising strategy effective with these tips.
Laser Focus Your Targeting
Getting your ads in front of the right leads increases the ROI of your campaign. Most OTT platforms allow you to segment your audience based on their behaviors and interests. For example, when advertising on YouTube, you're allowed to choose between video categories where your ad will be placed.
Sometimes this is easy to determine, especially if your audience's preferred content aligns with your business. For example, the audience of an auto accessories store probably consumes a lot of automotive content. If you're not sure, you can always prompt your audience to fill out a survey with this information.
Using a location-based approach is another good way to target your audience. Your ads could include a call-to-action to visit a specific store in the viewer's area. You can use this strategy in combination with interest-targeted ads to attract newcomers to your brand.
Narrowing down your demographics is one of the easiest ways to segment your audience. For example, it stands to reason that Gen Z and Millennial consumers are more interested in video games than Boomers. In addition to age or gender, you can target your ads based on income level and household size.
There are some industries, such as food service and medicinal supplies, where your audience is too broad to pin down specific targets. In this scenario, you can create a custom audience based on analytics tools. These will track exactly who is clicking on your website and social media links.
We have seen how segmented ads perform on other channels, such as email marketing. Advertisers who use segmentation can potentially get up to 760% more sales. Some advertisers pursue OTT simply because it has a wide reach. However, even the most avid watcher won't take action on ads that aren't relevant to them.
Personalize Your Ads
Customers across all industries have made it clear that personalization is very important to them. According to a recent survey, 91% of consumers prefer to shop with brands that send them personalized offers and ads. 83% of those consumers are even willing to give out personal information to ensure they get the most relevant ads.
Forty-two percent of customers become annoyed when their ads aren't personalized. As most marketers are aware, it only takes one negative experience for a customer to avoid a brand entirely. Offering them personalized ads from the beginning means more lead conversions and loyal customers for years.
Fortunately, it's not hard to personalize the customer experience once you've segmented your audience. For example, if they've visited your website recently, you can place an ad on their preferred OTT platform for a 30% off promotion. If the viewer is watching OTT on a mobile device, a clickable link will allow them to visit your website easily.
Another surefire way to attract interested consumers is through Custom Audience tools. YouTube and Facebook Watch allow you to upload a list of your customers' phone numbers and email addresses to its platform. This attracts more customers at the top of the funnel who have shown a definite interest in your brand.
Take Advantage of Retargeting
If you've experienced a dip in sales, it may be time to pursue a retargeting strategy. Consumer behavior changed a lot in 2020, leaving many industries unprepared. Many consumers have cut back their spending or allocated it to different resources, like health and wellness products. Conversely, you should also use retargeting to promote specific products in high demand due to the current situation.
Advertisers also use retargeting campaigns to promote their best-selling products. If a customer wasn't interested in something the first time, seeing other satisfied customers will likely sway their opinion. You can also use retargeting to move inventory that has been sitting for a long time. Offering these items at a discounted rate will get the job done faster and make your customers happy as well.
You should also frequently remind your audience whenever new items are in stock. Regular retargeting campaigns improve brand recall and show your customers that you're invested in their continued patronage. It works so well that 59% of advertisers are using retargeting in their strategies this year, according to trend reports.
Using OTT Ad Tips and Tricks
Considering OTT's broad reach and extensive customization for marketers, it's easy to see why it's worth the investment. Just be sure that your ads are segmented, personalized, and retargeted to stay top of mind with your audience. If you need more OTT ad tips and tricks, consult with an experienced media partner.